The growth of Tguan for next few quarters remains intact judging from its 33 layers nano-technology stretch film was commissioned and started contributed in 1st Qtr 2016. They are going to expand the capacity by installing 2 additional production lines worth US 3 million in Dec 2016.
yeah, grow story promising, but tguan not much experience in food leh, coffee can lah...food is totally different field. i have some doubts seriously......
Tguan is expected to generate higher profit in upcoming QR in the absent of forex losses RM 3.2 million reported for 3rd Qtr 2015 due to high borrowing in USD denomination. USD borrowing was slashed by half to RM 24 million as reported in 2nd Qtr 2016.
After reading through YiStock's article on "Brave Earning Projection of Q 3 TGuan Earnings, I am quite agreeable to his estimated profit in the region of RM20-25 millions Verses RM 14.5 millions (13.8 EPS )after tax. Due to dilution of shares from conversion of ICULs into ordinary Shares, market price has been depressed, However, if you take into account full FY 2016, earning per share will still be higher. For those ICUL holders after conversion will get dividends(if any) but the company will have saving of 5% interest payable annually. So, the net result could be in the region of 3 cents (if 8 cents final dividend is declared).
After reading through Icon8888 article dated 20/11/2016, there is no doubt that YiStock & Icon8888 are in agreement affirming TGuan coming QR will be better and bright prospect for the next 2 years.to come. Anyone who has read through both articles can deny the projections?
The company is projecting a “double-digit percentage” growth in its revenue and bottom line.
“Orders for stretch-film and polyvinyl chloride (PVC) food wraps have risen by about 20% so far this year,” group managing director Datuk Ang Poon Chuan told StarBiz.
Based on latest "hint" given by Datuk Ang, 20% increase in order, if i "bravely" use 2015 revenue as base, RM 712 mil x 1.2 = RM 855 mil.
With 7.6% net margin, RM 855 mil x 0.076 = RM 65 mil net profit
Let us assume that TGuan made RM65 millions for FY2016, then at current price of RM4.26, the PE is only7.6 ( assuming paid up at 116 millions instead of full conversion of ICULS)
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Stephen Chow
141 posts
Posted by Stephen Chow > 2016-10-26 01:27 | Report Abuse
TGUAN is back :)